The new commissioner was one of several measures announced in the Queen's Speech in June as part of a pledge to create the Small Business Conciliation Service.
The commissioner will be able to amass data to “name and shame those behaving badly and celebrate those leading the way by paying promptly”, said the government.
The Department for Business, Innovation & Skills (BIS) is calling on companies of all sizes to contribute to the consultation.
The closing date for the consultation is 21 August and new measures will form part of the Enterprise Bill, which is due to be published in the autumn.
A BIS spokesman could give no details on the extent to which bad practice and late payment affected small businesses in the print sector, nor who would become the commissioner.
“It's hard to give any further details,” he said. “We will draw conclusions after feedback from businesses to help us shape policy.
“But what we are consulting on is more about the group and mediation service itself rather than a person. It's interesting to guess who the person might be and where they come from in terms of their expertise and experience. It's hard to say at this stage.”
According to BIS the small business commissioner will “lead a culture change” in how small businesses resolve disputes with larger companies.
The person will help them handle disputes over late payment and other supply-chain practices and point them towards advice, support, mediation and conciliation services.
The commissioner, who will have the power to look into complaints and report findings, aims to deliver on the Conservative pledge to “fundamentally tackle unacceptable payment practices that hit small firms”, said small business minister Anna Soubry.
“The government is backing small businesses to grow and create more jobs and opportunity,” she said. “Small businesses are owed £26bn in late payments and spend millions more chasing down money they have already earned through hard work.
“This is simply unacceptable – it limits their growth and productivity and can put an otherwise successful business at risk. The small business commissioner will tackle the imbalance of bargaining power between small suppliers and large customers.
“The commissioner will encourage them to get around the table and sort out disputes at a fraction of the cost of going to court. It will also provide advice, investigate complaints and see where further action is needed to clamp down on unfair practices.”
In July 2015, Bacs found small and medium businesses were owed £26.8bn in overdue late payments and that £10.8bn was being spent each year in trying to recover overdue payments.
Meanwhile a Federation of Small Businesses survey of members last year revealed 51% had been hit with late payments in the previous 12 months.
